European Central Bank (ECB) President Christine Lagarde stated that the bank is nearing its 2% inflation target, according to an interview published on Saturday.
Speaking to China’s Xinhua news agency earlier in the week—an interview now available on the ECB’s website—Lagarde emphasized that financial stability is essential to achieving stable prices.
“We are close to reaching our medium-term inflation goal of 2%, which we define as price stability,” she said.
Earlier in June, the ECB revised its inflation outlook downward for the euro area, now projecting inflation to hit 2.0% in 2025 and ease to 1.6% in 2026.
Lagarde also mentioned that the ECB’s work on a potential digital euro is advancing. If the initiative gains legislative backing, she said, the central bank would be prepared to proceed.
